Company Overview

Apex Ecotech Limited, established in 2009, is a distinguished provider of comprehensive water and wastewater treatment, recycling, and reuse solutions for diverse applications. The company holds an ISO 9001:2015 certification and specializes in delivering end-to-end solutions for water and wastewater management. Founded by Anuj Dosajh, Ramakrishnan Balasundaram Aiyer, Ajay Raina, and Lalit Datta on April 01, 2009, its headquarters are located in New Delhi, India.

The company was initially incorporated as Apex Ecotech Private Limited in Maharashtra – Pune, with a Certificate of Incorporation dated April 01, 2009. Subsequently, it transitioned into a Public Limited Company, changing its name to Apex Ecotech Limited, as per the fresh Certificate of Incorporation issued by the Registrar of Companies, Central Processing Centre, on July 02, 2024.

Business Operations and Services

Apex Ecotech operates as an Engineering, Procurement, and Construction (EPC) contractor, offering turnkey services across multiple business segments. The company provides complete EPC solutions to clients, encompassing design, supply, installation, testing, commissioning, and operation and maintenance services.

The core business segments include:

- Water Treatment Plants (WTP): For treating raw water to make it suitable for industrial and domestic use.

- Wastewater Treatment Plants (WWTP): For treating wastewater to meet pollution norms and enable reuse.

- Zero Liquid Discharge (ZLD) Systems: High-recovery systems designed to recycle and reuse all treated water, ensuring no liquid waste is discharged.

The company offers a comprehensive suite of services:

- Water treatment plant process and potable applications.

- Wastewater treatment for sewage and complex industrial effluents.

- Wastewater recycling plants for water reuse post-treatment.

- ZLD plants, including final stage evaporator systems.

- Process control and plant automation.

- Feasibility studies and design engineering.

IPO and Market Performance

The Initial Public Offering (IPO) for Apex Ecotech opened for bidding on November 27, 2024, and closed on November 29, 2024. The price band was set at Rs 71 to Rs 73 per share. The IPO was highly successful, subscribed 420.73 times, comprising a fresh issue of 34,99,200 shares.

Upon listing, shares of Apex Ecotech traded at Rs 145.60 on the NSE, representing a premium of 99.45% over the issue price of Rs 73. The scrip debuted at Rs 138.70, a significant premium of 90% over the initial public offer price. APEXECO reached its all-time high of ₹169.00 on January 15, 2025, while its all-time low was ₹118.15 recorded on December 12, 2024.

Financial Performance

Apex Ecotech Ltd reports an operating revenue of ₹118.87 Crore on a trailing 12-month basis. Key financial highlights include:

- Annual Revenue Growth: An outstanding 53%.

- Pre-tax Margin: A great 17%.

- Return on Equity (ROE): An exceptional 44%.

- Debt to Equity Ratio: A reasonable 1%, indicating a healthy balance sheet.

Revenue has demonstrated steady growth:

- March 2022: ₹1,951.18 lakhs

- March 2023: ₹3,457.38 lakhs

- 12-month period ending March 2024: INR 5,308.09 lakhs

The Profit After Tax (PAT) has seen a substantial increase:

- March 2022: ₹(65.86) lakhs

- March 2024: ₹663.04 lakhs

Key financial metrics as of recent reporting:

- Diluted EPS: Increased from ₹(7.21) in March 2022 to ₹72.47 by March 2024.

- Return on Net Worth (RoNW): Improved from (16.33)% to 60.38%.

- Market Cap: ₹177 Crore (as of January 2025).

- Revenue: ₹53.1 Cr (current 12-month period).

- Profit: ₹6.63 Cr (current 12-month period).

Shareholding Structure

Following the IPO, the promoter and promoter group shareholding has seen a dilution from 94.32% pre-IPO to 69.29% as of December 2024 (compared to 94.32% in July 2024).

- Promoter Holding: 69.3%

Strategic Focus and Market Position

Apex Ecotech intends to allocate the net proceeds from its IPO towards working capital requirements, public issue expenses, and general corporate purposes. A significant portion, ₹17 crores, is earmarked for working capital needs in FY 2024-25 to support growth in water treatment services, with the remainder to be met through internal accruals as required.

Financially, Apex Ecotech appears stable compared to its competitors, with a lower probability of facing bankruptcy or financial distress. The company operates within the burgeoning water treatment and environmental solutions sector, positioning itself as a comprehensive service provider in water and wastewater management.

The company's business model focuses on delivering sustainable and cost-effective solutions for water purification and desalination systems, catering to both industrial and municipal clients across India. With its ISO certification and robust EPC capabilities, Apex Ecotech is strategically poised to capitalize on India's increasing emphasis on water conservation and environmental compliance.